Financial Derivatives (ACTU 471)

This course gives an understanding of the following terms and concepts: Financial derivatives, short selling, long and short positions, bid and ask prices, net profit of long and short positions, forward contract, prepaid forward contracts,  payoff and profit of long and short forward, futures contracts, call and put options,  European option, American option, Bermudan option, payoff and net profit of long and short option positions, put-call parity, Option spreads (bull, bear, box, ratio), collar, zero-cost collar, straddle, strangle, butterfly spread.